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European shares retreat as rising bond yields weigh

Published 03/12/2021, 04:26 PM
Updated 03/12/2021, 04:30 PM
© Reuters.
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(For a Reuters live blog on U.S., UK and European stock
markets, click LIVE/ or type LIVE/ in a news window)
March 12 (Reuters) - Rising bond yields dragged European
stocks lower on Friday, but major bourses were set for strong
weekly gains as stimulus and vaccination programmes spurred
hopes of a solid economic recovery.
The pan-European STOXX 600 .STOXX fell 0.4% in early
trading, after a four-session winning streak drove the index to
pre-pandemic highs a day earlier.
With the 10-year U.S. Treasury yield US10YT=RR back above
1.6%, investors booked some profits, especially in the tech
sector .SX8P , which was down 1.4%.
Dutch company Prosus PRX.AS , which holds a third of
Chinese tech giant Tencent Holdings 0700.HK , dropped 4.8% as
the Chinese market regulator fined 12 companies including
Tencent related to deals that demonstrated illegal monopolistic
behaviours. German carmaker Daimler DAIGn.DE slipped 2.0% after French
rival Renault RENA.PA sold its entire stake in the company at
a discount. British luxury group Burberry BRBY.L jumped 7.2% to the
top of STOXX 600 after saying it had seen a strong rebound in
sales since December.

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